Amazon said Monday it will invest up to $4 billion in AI company Anthropic as the online retail giant enters the AI race dominated by Microsoft, Google and OpenAI.
The success of OpenAI’s ChatGPT, a chatbot that can generate poems, essays, and other works with just a short prompt, released last year, has led to billions of dollars being invested in the field.
Amazon has already announced that it aims to power its Alexa voice assistant with generative AI, which the company said will allow users to have smoother conversations.
San Francisco-based Anthropic is considered a leader in this space and has its own chatbot, Claude, which is a competitor to ChatGPT.
Amazon CEO Andy Jassy said, “We have great respect for Anthropic’s team and foundational model, and believe that through closer collaboration, we can help improve many customer experiences in the short and long term.” “
As part of the deal, Anthropic will use Amazon’s chips and its cloud services (data centers that store and process large amounts of data) for “mission-critical workloads.”
Amazon said it would take a “minority shareholder position” in the AI company, which has already raised hundreds of millions of dollars since its founding in 2021.
The deal increases competition between Amazon and Google. Google previously opened its cloud services to Anthropic and invested $300 million to acquire a 10% stake in the company.
The models used by AI companies require vast amounts of computing power, and Amazon Web Services and Google Cloud are among the largest providers.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)